Interbrew UK increases profits on new approach

Interbrew
UK has increased its year-on-year profits from 2 per cent to 20 per cent in the
last three years after the introduction of a new approach to performance
management.

Peter
Radcliffe, the brewer’s HR director, said the company, formerly the Whitbread
Beer company, had taken the decision to try and create a culture where all
employees are accountable for the organisation’s performance in 1997.

Radcliffe
told delegates at the CIPD national conference that the main reason for the
change to a more performance focused approach was because of the uncertainty
the company faced prior to its takeover by Belgium-based Interbrew SA.

"We
faced two years of change and uncertainty. A lot of people were not sure that
there was a future for the business. We had to perform to preserve our
business," said Radcliffe.

Working
with consultants Nextera, the brewer started by ensuring all employees were
aware of its four main priorities which were brand leadership, to crush costs,
growth and people development.

Radcliffe
told the conference the company, which was taken over by Interbrew in May last
year, set targets with financial incentives for individuals and teams in the
business to help it achieve its objectives.

Radcliffe
said an essential part of the process, which was driven by total commitment at
board level, was the introduction of one-to-one staff appraisals.